VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 3, 2008) - War Eagle Mining Company Inc. (TSX VENTURE:WAR) announces the following assay results from surface drilling (GO-# series), and underground drilling (TE-# series) at the 6 1/2 Level of the Tres Marias Project, Mexico. Underground diamond drilling is currently on drillhole TE-87, and surface drilling is currently on GO-26 in the southern-Nacional-extension. The current price of Germanium metal (Ge) is US $1,600 per kilogram ($1.60/g) and Zinc (Zn) is US $1,894 per tonne.

War Eagle Mining Company Inc. is an experienced mineral exploration company publicly traded since 1987 and on the TSX Venture Exchange under the symbol WAR. The company is in the exploration phase of the Tres Marias Germanium and Zinc Project in Mexico. Tres Marias is a former producing high-grade Germanium and Zinc mine that first produced ore in 1949.

Mr. Terry Schorn, P.Geo., President and CEO, has reviewed the contents of this release and is the qualified person pursuant to the National Instrument 43-101.

Terence F. Schorn, P.Geo., President, War Eagle Mining Company Inc.

Forward Looking Statements

This disclosure contains certain forward-looking statements that involve substantial known and unknown risks and uncertainties, certain of which are beyond the Company's control including: the impact of general economic conditions in the areas in which the Company operates, industry conditions, changes in laws and regulations including the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, fluctuations in commodity prices, foreign exchange or interest rates, stock market volatility and obtaining required approvals of regulatory authorities. In addition there are risks and uncertainties associated with mining operations, therefore the Company's actual results, performance or achievements could differ materially from those expressed in or implied by these forward-looking statements will transpire, or occur, or if any of them do so, what benefits, including the amounts of proceeds which the company will derive therefrom. All statements included in this press release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are forward-looking statements. These statements include future pricing trends of Ge metal, completion and production timetables. These statements are based on assumptions made by the company based on its experience perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances.

CUSIP. No. 933901209

The TSX Venture Exchange has not reviewed and does not accept the responsibility for the adequacy or accuracy of the contents of the foregoing.